Jakarta (ANTARA) - The Indonesia Tourism Fund is expected to allocate Rp2 trillion (around US$129 million) annually to support the tourism and creative economy sectors, Minister of Tourism and Creative Economy Sandiaga Uno said on Friday.

He stated in a written statement that his ministry would coordinate with the Finance Ministry on the management of the fund.

The government will only allocate the fund to events that will benefit the economy and create employment opportunities, he informed.

The government is planning to use the fund to host world-class events at five super-priority tourist destinations (DPSPs) next year, he added.

Borobudur Temple in Central Java, Lake Toba in North Sumatra, Likupang in North Sulawesi, Mandalika in West Nusa Tenggara, and Labuan Bajo in East Nusa Tenggara are the five DPSPs.

He said that the plan is inspired by Indonesia's success in hosting a number of international prestigious events, including the MotoGP race at the Mandalika Circuit, West Nusa Tenggara.

According to him, the holding of the racing championship last year resulted in a gain of Rp4.5 trillion (around US$289.6 million). Meanwhile, during the Mandalika MotoGP 2023 in October, Indonesia generated as much as Rp8 trillion (around US$517 million).

The 2023 edition of the race made West Nusa Tenggara the region with the highest mobility of domestic tourists as of October, he added.

"These stats have encouraged us to hold events in 2024 with the support of the Indonesia Tourism Fund," he said.

Uno revealed that there will be an additional budget of Rp1.2 trillion (around US$77 million) allocated to complete the development of the five DPSPs before President Joko Widodo's term concludes in 2024.

"Hopefully, tourism and creative economy will replace extractive economy as Indonesia's locomotive of economy," Uno said.

Widodo held a limited meeting with Uno and several officials on Monday to discuss the plan to establish the tourism fund.

During the meeting, the president emphasized the need to properly and prudently manage the tourism fund and attract more tourists through quality and sustainable tourism, Uno added.

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Translator: Sinta A, Tegar Nurfitra
Editor: Anton Santoso
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